i realllly need help filing out the chart. I am not clear on how to do so I have completed all my work but not the chart. Please help me with this chart unformtenatly this is what my teacher wants. I di all the work in the 4 sections below i just dont know how to apply it to the chart which is the first section.

Make sure that you label each variance as FAVORABLE (F) or UNFAVORABLE (U) in your solution set file for Quiz #3. Upload your problem solution set file in the Quiz 3 folder in the Assignments area under Week 7.

For the interpretation of each variance, you must identify a possible root cause for each variance. Do not only restate info about the factors for the calculation of any variance. For example, a possible root cause for an U direct material price variance would be the increase in the market price for the material. An alternative root cause would be the purchasing manager's purchase of materials with a quantity discount for the period.

Also, be aware of possible interrelationships between/among variances. An U direct material variance due to the higher cost for the purchase of better quality materials may be linked with an F direct material usage/efficiency variance. It may take less material for each unit of output with better quality of input.

VARIANCESKEY FIGURES

Input your key figures & interpretations in the yellow highlighted areas.

Make sure that you include F for favorable or U for unfavorable for each variance.

Show ALL supporting computations in the tabs for DM, DL, VMOH, and FMOH variances.

a. DM price

b. DM efficiency

c. DL rate

d. DL efficiency

e. VOH spending

f. VOH efficinecy

FOH spending

h. FOH production-volume

VARIANCE--INTERPRETATIONS What factor(s) may have caused each variance?

Identify a ROOT CAUSE for each of the variances in the yellow highlighted space below.

DM price

DM efficiency

DL rate

DL efficiency

VOH spending

VOH efficiency

FOH spending

FOH production-volume

Robb Industries, Inc. (RII), developed standard costs for direct material and direct labor.

In 2004, RII estimated the following standard costs for one of their major products, the 10-gallon plastic container.

Budgeted quantity Budgeted price

Direct materials 0.10 pounds $30 per pound

Direct labor 0.05 hours $15 per hour

During June, RII produced and sold 5,000 containers using 490 pounds of direct materials at an average cost per pound of $32 and

250 direct manufacturing labor-hours at an average wage of $15.25 per hour.

a. What is Junes direct material price variance?

(sp-ap)*aq

standard price 30 acutal quantity 490

actual price 32 direct material 980 unfavorable

b. What is Junes direct material efficiency variance?

sp*(sq-aq)

standard price 30 actual quantity 490

standard quality 500 direct material 300 favorable

c. What is June's direct labor rate variance?

(sr-ar)*ah

standard rate 15 actual hours 450

actual rate 15.25 manufactoring labor variance 62.50 unfavorable

d. What is June's direct labor efficiency variance?

(sh-ah)*sr

standard hours 250 standard rate 15

actual hours 250 maunfaturing varience 0

VARIABLE OVERHEAD VARIANCES
Roberts Corporation manufactured 100,000 buckets during February.
The overhead cost-allocation base is $5.00 per machine-hour.
The following variable overhead data pertain to February:
	Actual	Budgeted
Production	100,000 units	100,000 units
Machine-hours	9,800 hours	10,000 hours
Variable overhead cost per machine-hour	$5.25	$5.00
e.	What is Februarys variable overhead spending variance?
	(5.00 5.25)9800
	.25-9800=2450 unfavorable
f.	What is Februarys variable overhead efficiency variance?
	sor(ah-st)
	5(9800-10000)
	5*200
	1000 unfavorable

FIXED OVERHEAD VARIANCES

Jennys Corporation manufactured 25,000 grooming kits for horses during March.

The fixed-overhead cost-allocation rate is $20.00 per machine-hour.

The following fixed overhead data pertain to March:

Actual Static Budget

Production 25,000 units 24,000 units

Machine-hours 6,100 hours 6,000 hours

Fixed overhead costs for March $123,000 $120,000

g. What is Marchs fixed overhead spending variance?

fosv=afo-bfo

120000-123000

3000 unfavorable

h. What is Marchs fixed overhead production-volume variance?

fopvv=afo-bfo

25000*5-120000

5000 favorable